Tuesday, March 26, 2013

A
Donor Advised Fund is a fund established with a public charity in which the
donor retains for themselves, and possibly others, the right to make recommendations regarding the use of the
gifts they make to the fund. The donor’s
retained right is only advisory; the charity is the owner of the DAF and has
ultimate control over it.

WHY
USE A DAF?

A
DAF is a great charitable giving plan for people who want flexibility in timing
philanthropic support. A gift can be
made to your DAF at a time when it may be most advantageous for tax-planning
purposes without having to immediately decide what charitable causes/projects
the gift will support. It also provides
the opportunity to be actively involved in “grant-making” from your DAF on an
on-going basis.

WHEN
ARE GIFTS TO A DAF DEDUCTIBLE?

Gifts
to a DAF are deductible in the year they are made, whether or not there is any
charitable distribution out of the DAF during that year.

HOW
CAN A DAF HELP US DEVELOP “FAMILY PHILANTHROPY”?

On-going
giving to particular charities (philanthropy1) is the result of the
donor’s determination those charities are meeting needs in the community in
ways that are making a difference. Those
decisions are impacted and shaped by the giver’s values and beliefs.

A
DAF that includes children as donor advisors provides opportunities for sons
and daughters to learn first-hand, as the family makes decisions about
charitable distribution recommendations together, how their parents approach
philanthropy, which organizations they value most and why, and what their
parents expect from charitable organizations they support.

Through
a DAF children learn by participating---they are not just being handed 2
quarters during the worship service to put in the offering plate; they are part
of the process that explores what a $500 distribution from our family’s DAF to
this particular organization will accomplish and how such a gift is in keeping with
our family’s values and beliefs.

Donor
Advised Funds can be a great way to grow giving children as the family gives
together.

1
”Philanthropy”: The act of donating money, goods, time or
effort to support a charitable cause, usually over an extended period of time
and in regard to a defined objective (Wikipedia)

For more information, please call us at (502) 489-3533 or toll free in KY at 1-(866) 489-3533

The information in this article is provided as general information and is not intended as legal or tax advice. For advice and assistance in specific cases, you should seek the advice of an attorney or other professional adviser.

Tuesday, March 19, 2013

What happened to the church offering envelope concept my home church, the FBC of Grenada, MS, used when I was boy? It functioned as much more than a means by which I could give my weekly tithe. It also functioned as a weekly incentive, motivator, reminder and measure of progress and accomplishment in my spiritual maturity.

While recently perusing through the KJV of the Bible my parents gave me, and I used as a boy, I discovered one of those blank envelopes I had stuck in that Bible. It was dated November 1, 1959. In addition to a space for the amount of my offering, there were five additional spaces and seven boxes for me to record and to mark that gave an accounting of how I well I had fulfilled the church’s expectations of me that week.

The five boxes were used to record the total number of contacts I had made that week by telephone, personal visit, phone call, a letter or card. The seven boxes were used to record my total weekly grade on a scale of 10% to 100% in six important disciplines. The disciplines and the percentage assigned to each were: being present for Sunday School (20%); being on time (10%); having your Bible (10%); bringing an offering (10%); studying your lesson (30%); and staying for preaching (20%); the seventh box was for the combined total of the other six with a potential perfect grade of 100%.

I don’t remember when the offering envelope concept changed from this broader purpose to being just a means by which to give an offering. But, I wish it had never changed because I believe the byproduct of it resulted in more mature and engaged disciples than today’s concept.

Can you believe it? In 1959 all age groups were expected not only to be present for Sunday School and worship, but also expected to be on time, to be prepared, to bring an offering and to invite others to do the same. And, we were expected to grade ourselves each week on an honor system to demonstrate how well we fulfilled the expectations of a maturing Christian. The church actually kept a record of each person’s weekly grades and provided periodic reports or each person’s progress.

Let’s bring back the church envelope concept of discipleship accountability used in 1959!

For more information, please call us at (502) 489-3533 or toll free in KY at 1-(866) 489-3533

The information in this article is provided as general information and is not intended as legal or tax advice. For advice and assistance in specific cases, you should seek the advice of an attorney or other professional adviser.

Friday, March 15, 2013

One of the important stewardship truths of the Bible is we Christians should live beneath (not within) our means, and we should save for a rainy day. The wisdom writer put it this way in Proverbs 21:20: "In the house of the wise are stores of choice food and oil, but the foolish man devours all he has."

Someone has said, "if your out-go exceeds your income then your upkeep will be your downfall." To live beneath your means requires the deferring of pleasure and recognizing the self-imposed bondage you can create by carelessly using easy credit.

Remember these two things: (1) the most nerve wracking place on earth to live is "just beyond your means;" and (2) it wasn't raining when Noah built the ark.

For more information, please call us at (502) 489-3533 or toll free in KY at 1-(866) 489-3533

The information in this article is provided as general information and is not intended as legal or tax advice. For advice and assistance in specific cases, you should seek the advice of an attorney or other professional adviser.

Thursday, March 7, 2013

Leveraging in the context of charitable gift planning means using the financial resources you have in a way that provides the biggest ultimate gift.

Using life insurance to fund a charitable gift is a great way to leverage your charitable giving. While you may not be able to make a gift of thousands of dollars all at once, you may have the financial resources to make gifts of modest amounts on a regular basis to cover the cost of the premiums on a life insurance policy on your life. Or, you may be in a position to give up ownership of a policy you purchased years earlier for a particular financial need that no longer exists.

The simplest way to set up a gift to charity using life insurance is to designate one or more charities as either the primary or contingent beneficiary of a policy on your life. This option provides no current tax benefits to you, but sets up a plan to fund a potentially significant gift to the designated causes at your death for which your estate would get an estate tax deduction. You may designate the proceeds to be paid outright to the charitable beneficiaries or to an endowment fund benefiting one or more charitable causes.

Another option is to make an irrevocable transfer of the ownership of an existing policy to charity, or arrange for the charity to purchase a new policy on your life with funds you provide. Such a gift is a charitable contribution for income tax deduction purposes. And, if you give the charity-owner of the policy cash in future years to pay the premiums after you transfer ownership, you will be entitled to additional deductions.

At your death, the charity can collect the life insurance proceeds immediately; there is no waiting for the settlement of your estate and usually no expense. Best of all, the amount the charity receives is usually far larger than the total premiums paid during your lifetime.

A charitable gift of life insurance----a simple, but effective way to leave a legacy and make a lasting difference.

For more information, please call us at (502) 489-3533 or toll free in KY at 1-(866) 489-3533

The information in this article is provided as general information and is not intended as legal or tax advice. For advice and assistance in specific cases, you should seek the advice of an attorney or other professional adviser.

Tuesday, March 5, 2013

I was struck by Marty Comer’s commentary in the February 12 issues of the Western Recorder titled “Today’s church: A generation of fans, not disciples. His remarks were based upon the results of the George Barna research group’s study of how religion had changed over the 20-year period from 1991-2011 and a Boston University professor’s study of the religious literacy of his college students. Some of the findings were disturbing.

In addition to these findings, Comer referred to a statement one of his seminary professors made in the late 1980’s when the para-church movement was gaining influence, the electronic church was rising in prominence and certain television ministries were thriving. His professor observed those movements had “produced a generation of fans rather than disciples.” And, the church had become the victim of these “ministries of popularity.”

Jesus wants disciples, not fans. However, one of the disturbing findings in these studies reveals Jesus may have more fans than disciples. But Jesus commissioned the church to go and make disciples and to teach them to obey everything I have commanded you (Matthew 28:19-20). I agree with Henry Blackaby’s assessment of where we are as Southern Baptists and where we ought to go from here. He has said, “If Southern Baptists want to see a Great Commission Resurgence, we need to focus on the relationship between the disciples and the living Lord Jesus, not launch a new emphasis on evangelism. Southern Baptists have focused on evangelism and missed discipleship. The heart of the Great Commission and discipleship is to teach them to practice everything I have commanded you.”

It is in the context of a New Testament church that disciples are produced. My favorite mission statement for any church is: exalt the Savior, equip the saints and evangelize the sinner. Notice the order of these foundational pegs. Before a disciple of Jesus Christ can evangelize another, he or she must be equipped.

I contend at the heart of discipleship is financial stewardship for Kingdom advancement. For Kentucky Baptist churches to be successful in reaching Kentucky and the world for Christ, they must be equipped to equip their church members in the vital discipline of financial stewardship, which is why the KBF exists. Give us the opportunity to assist your church.

For more information, please call us at (502) 489-3533 or toll free in KY at 1-(866) 489-3533

The information in this article is provided as general information and is not intended as legal or tax advice. For advice and assistance in specific cases, you should seek the advice of an attorney or other professional adviser.

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